This paper describes an integrated statistical-hydrodynamic method to estimate typhoon-induced coastal flood and inundation hazard at the city scale. We apply the novel method to quantify storm tide and inundation hazards for a flood-prone coastal megacity-Shanghai, China. We identify two "worst-case" scenarios (extracted from over 5000 synthetic storms) that can generate unprecedentedly high flood levels in Yangtze River Estuary and Hangzhou Bay, respectively. However, we find that, under the current sea level and climate condition, mainland Shanghai is relatively safe from coastal flooding, thanks to its high-standard seawall protection. Only low-lying and poorly-protected estuarine island (Chongming) is likely to be heavily affected by flood events with long return periods. Future studies are needed to re-assess the risk for sea-level rise and climate change conditions.Plain Language Summary: Coastal flooding associated with tropical cyclones (TCs, also called typhoons in the Northwest Pacific Basin) is often the most devastating and costliest natural hazards. Struck by a number of strong TCs in recorded history, Shanghai is highly vulnerable to coastal flooding due to its location within the Yangtze River delta, low-relief topography and high-density population. However, given the limited historical data, observation-based analysis is insufficient to capture the potential extreme events. In this study, we use a synthetic storm model to generate large numbers of TC events that are physically plausible but have almost never occurred in the past. Storm tide and the resultant coastal flooding induced by each TC are further simulated with a coupled circulation-inundation model. Results suggest that Shanghai may encounter extreme storm tide flooding with very low possibilities. With the protection of seawall, the city is generally immune to extensive flooding, except low-lying and poorly-protected coastal floodplain and estuarine island (Chongming).